India, Feb. 1 -- During her Budget speech on Sunday,finance minister Nirmala Sitharaman announced a set of initiatives aimed at strengthening India's capital goods manufacturing capabilities. The FM said that public sector enterprises will establish high-tech tool rooms at two locations. These facilities will function as digitally enabled, automatic service bureaus and will focus on the local design and large-scale manufacturing of high-precision components at lower costs.

Sitharaman also proposed a scheme to enhance construction and infrastructure equipment (CIE) to strengthen domestic manufacturing of high-value, technologically advanced equipment. The scope of this scheme will span a wide range of products, from lifts and firefighting...